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Tufts was elected mayor of Dorset in 2012 when he was just 3-years-old. After serving two terms leading the city, estimated population of 25, Tufts, 5, lost out to 16-year-old Eric Mueller.
Residents vote for mayor by purchasing votes for $1 apiece, then the winner's name is randomly pulled.
The Tufts wanted the youngster to possibly take a year off, so they didn't actively campaign for him this time around.
"He did really well; he didn't get sad," mother Emma Tufts told MinnPost after her son's defeat. "He might have a meltdown in the next few days, but I think he understands it's time for someone else."
Just because Bobby is done serving the town, that doesn't mean the family is. His 2-year-old brother, James, is reportedly considering going after the job.
"If James does run, Bobby wants to be his political adviser," Tufts said.